Financial Institutions Subcommittee Chairman, Rep. Shelley Moore Capito (R-W.VA), and Ranking Member Rep. Carolyn Maloney (D-NY), have introduced the HR 3461, Financial Institutions Examination Fairness and Reform Act, to clarify concerns regarding the increase in regulatory compliance issues for financial institutions and the fairness of the examination process since the recent financial crisis. HR 3461 was referred to the House Financial Services Committee on Nov. 17.
“We have heard significant concerns about the fairness of the examination process for financial institutions and their ability to effectively appeal regulator decisions," said Rep. Capito. "This legislation provides financial institutions with a fair and impartial process to appeal examination reports for federal financial regulators and providing further clarity to regulators. I appreciate the hard work of Congressmen Westmoreland and Posey and many other members for their ardent advocacy in bringing these concerns to the committee’s attention.”
HR 3461 is the result of extensive subcommittee hearings and conversations with many members from across the country about the challenges facing financial institutions in their communities.
“I have heard from banks in my district who feel that there is a disconnect between guidance coming out of Washington and exams that are being done in the field," said Rep. Maloney. "I am hopeful that this bill, which codifies existing guidance, will help ensure that the examination process is being conducted consistently and will offer banks an impartial outlet when they feel wrong determinations have been made."